A New Brunswick MP says he still hasn’t spoken to Premier Susan Holt about a letter written to her in early August outlining concerns about how a proposed data centre to be built in Saint John will put pressure on the province’s power grid. The letter, penned on Aug. 6, was written by New Brunswick Southwest MP John Williamson, who resides over the Lorneville area where the proposed data centre would be built. The project, which would be done in partnership between Beacon Data Centers and VoltaGrid, will require 390 megawatts of power to operate. One-hundred-and-ninety of those megawatts are expected to be produced one site, while the remaining 200 will come from NB Power’s grid. “In the last three years, ratepayers in New Brunswick, from one end of the province to the other, have seen a 35 per cent power rate increase,” Williamson says. “That has been a huge impact on families and businesses, and it’s one reason why many families in this province can’t afford to get by month to month.” Williamson is concerned the new facility will put increased demand on a power grid already struggling and will also mean New Brunswickers will have to pay more for their power to see the data centre operate. He believes unless it can be assured power rates will remain stable, the Lorneville Data Centre shouldn’t move ahead. “There’ll be another shortage in just a couple of years out and more generating capacity is going to be needed,” Williamson says. “Power rates are hurting New Brunswick families and businesses. We need to ensure that we have adequate energy, capacity and output as the first order of business and then once that’s done, we can consider the novelty ideas like a data centre.” Williamson says he made his letter public in mid-September after the province was touting the project at a recent investment summit in Toronto. The project is still pending an environment impact assessment and the province only recently opened a public feedback period from residents to give their thoughts about data centres in the province. “The public consultation for that process isn’t even over, yet here we have Premier Holt pitching this project to investors signaling that it’s full steam ahead, and I think that is a mistake.” Speaking with reporters last week at an unrelated event, the premier was asked about the letter and if the province can maintain stable power if the project is developed. Holt pointed out her government has put together a draft policy on data centres in the province and is allowing the public to offer their thoughts on data centre development until Oct. 2 as part of the process. “We have put in that draft policy that any new data centre project would have to have no impact on ratepayers or a positive impact on ratepayers,” Holt says, adding many provinces and states have been adopting different types of framework when it comes to data centre developments. “So, they’d be adding electrons to the grid, and that would allow us to reduce the pressure or the cost to NB Power customers.” When pointed out by a reporter that policies don’t carry the same weight as legislation, the premier was then asked if changes to the Electricity Act could be possible as part of the data centre draft policy. She says in an ideal world any change could be made in regulation which she says “allows you to move with a sector that is changing rapidly.” Discussions about data centre development have been taking place across the country as Canada looks at ways to keep its important data on domestic soil. Last week, Nova Scotia Premier Tim Houston softened his stance on data centres in his province, which he says are becoming increasingly critical pieces of infrastructure. “If a company can protect our water, protect ratepayers, strengthen our communities, create economic opportunity and keep critical Canadian data in Canada, we will hear them out,” Houston said in the statement. “If they cannot meet that standard, they will not build here in Nova Scotia.” At a state of the region event in Saint John last Thursday, Mayor Donna Reardon was asked about the benefits the proposed Lorneville data centre would bring to the city. Among the big selling points is the $6 million in tax revenue the site would generate. The mayor says that is more than all the city’s heavy industry current contributions combined. “That is a lot of money you could do a lot of things with it,” Reardon said. “Saint John has some of the poorest communities in the country. We’ve got this neighborhood just down the street here, one of two kids go to school living in poverty. Those are the things that you can fix with that kind of cash.” Reardon adds residents cannot say no to new investment and want to lower taxes and improve city services at the same time. “I’m just trying to do what I think is the right thing for the city of Saint John at this point in time.” For more New Brunswick news, visit our dedicated provincial page.
